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Japan could consolidate to three automakers by 2020

Sergio Marchionne might see his dream of big mergers in the auto industry become a reality, and an analyst thinks Japan is a likely place for consolidation to happen. Takaki Nakanishi from Jefferies Group LLC tells Bloomberg the country's car market could combine to just three or fewer major players by 2020, from seven today. "To have one or two carmakers in a country is not only natural, but also helpful to their competitiveness," Nakanishi told Bloomberg. "Japan has just too many and the resources have been too spread out. It's a natural trend to consolidate and reduce some of the wasted resources." Nakanishi's argument echoes Marchionne's reasons to push for a merger between FCA and General Motors. Automakers spend billions on research and development, but their competitors also invest money to create the same solutions. Consolidating could conceivably put that R&D money into new avenues. "In today's global marketplace, it is increasingly difficult for automakers to compete in lower volume segments like sports cars, hydrogen fuel cells, or electrified vehicles on their own," Ed Kim, vice president of Industry Analysis at AutoPacific, told Autoblog. Even without mergers, these are the areas where Japanese automakers already have partners for development. Kim cited examples like Toyota and Subaru's work on the BRZ and FR-S and its collaboration with BMW on a forthcoming sports car. Honda and GM have also reportedly deepened their cooperation on green car tech. After Toyota's recent buyout of previous partner Daihatsu, Nakanishi agrees with rumors that the automotive giant could next pursue Suzuki. He sees them like a courting couple. "For Suzuki, it's like they're just starting to exchange diaries and have yet to hold hands. When Toyota's starts to hold 5 percent of Suzuki's shares, this will be like finally touching fingertips," Nakanishi told Bloomberg. "I absolutely do believe that we are not finished seeing consolidation in Japan," Kim told Autoblog. Rising development costs to meet tougher emissions regulations make it hard for minor players in the market to remain competitive. "The smaller automakers like Suzuki, Mazda, and Mitsubishi are challenged to make it on their own in the global marketplace. Consolidation for them may be inevitable." Related Video:

2016 Suzuki Baleno is the 'ultimate' hatchback [w/video]

Suzuki unveiled its iK-2 concept at this year's Geneva Motor Show to imagine an inexpensive, compact hatchback for the future. Now just a few months later the Japanese brand has brought that shape to production largely unaltered with the Baleno. The company claims that it's trying to create the ultimate small car, and European customers get to find out in spring 2016. The Baleno doesn't break new ground in five-door hatch styling, but it's an unpretentious and handsome take on the traditional two-box look. The front end flows in an arc up to the windshield, and from the A-pillar back, the design sports a chunky, utilitarian shape. The interior looks somewhat staid with a lot of black plastic and cloth, but silver trim mixes up the monotony. Underneath the new look, Suzuki is making some big improvements. The Baleno rides on a new platform with less weight and more rigidity. The powertrain range also includes the brand's latest 1.0-liter turbocharged three-cylinder engine with 110 horsepower and 125 pound-feet, and it can be hooked up to either a five-speed manual or six-speed automatic. There's also a 1.2-liter four-cylinder with 89 hp and 89 lb-ft available with the same five-speed or a CVT. In addition, the mill is offered with as a mild hybrid with an Integrated Starter Generator. Suzuki says this option boosts acceleration at low speeds but doesn't specify how much extra power there is. Check out the company's promo video below to see the Baleno in motion. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. INTRODUCING THE BALENO Sep 15, 2015 When Suzuki set out to create a hatchback like none before, it first established a key guideline—hold back on nothing. The result is the Suzuki Baleno, a harmonious combination of styling that flows, superb performance achieved through ground-breaking technologies, and smart packaging. To create a new, bar-raising hatchback that is fun to drive and engineered to meet today's consumers' needs, Suzuki wanted to take the compact car to the ultimate level. Baleno chief engineer Kunihiko Ito explains: "We set our sights on developing the ideal hatchback, one that makes no compromises, giving it an elegant, sophisticated and grown-up character.

Jaguar I-Pace named World Car of the Year

NEW YORK — The Jaguar I-Pace has been named World Car of the Year, an award meant to honor the most significant new car introduction and conferred by an international jury of automotive journalist judges. The group announced the winners of additional awards at the New York Auto Show, with the Audi A7 named World Luxury Car of the Year, the McLaren 720S recognized as World Performance Car of the Year, and the Suzuki Jimny named World Urban Car. The I-Pace additionally took home two other awards: World Car Design of the Year and World Green Car of the Year. The WCOTY team of 86 jurors hail from 24 countries, and the organization is independent and not tied to any publication. This is the 15th year for the awards. For this year's World Car of the Year award the top three finalists were the I-Pace, the Audi E-Tron, and the Volvo S60/V60. Previous WCOTY winners were the Volvo XC60 in 2018 and the Jaguar F-Pace in 2017. View 74 Photos